The Real Cost of Disengaged Employees in 2020
One of the fundamental questions to be asked by business owners is the number of employees that are disengaged from their employment. The answer is an alarming one; seventy percent of the American workforce consists of disengaged employees. However, that is not the end of the world. There are various manners to combat this problem and to overcome it for the long haul. Once it is determined what the cause of disengaged employees is, you can take a turn for the betterment and turn those employees into valuable assets of the company.
The engaged employees could be defined by their zeal and passion for their work and the undeniable cohesion they share with the mission and goals of the organization, aligned with their own career goals. These employees not only try to be at their work at their job but are also looking for innovative ways to come up with novel ideas such as a student loan refinance calculator for the business and employee retention too.
On the contrary, disengaged employees are often known to be zoned out. They barely make through the workday to get done with the business already and receive their paycheck at the end of the month. They would be investing their time in their job but not their passion, and that gets really costly for the employers.
The actively disengaged employees cause destruction to the company culture, the brand image and ultimately cause financial setbacks.
The Cost in Terms of Culture
The employees must share the cultural values of the company and contribute positively towards it. However, the question to ponder is whether the disengaged employees will be a valuable addition to the company culture, similar to the actively engaged ones? Certainly not. Instead, the people who are spending time at work without the essence of it and passion, take your company a few steps backward by at least 30% of what the engaged employees would have worked hard for.
Not only do they contribute to financial downfall, but the disengaged employees also bring forth more risk, that of your organization losing the engaged employees. Since their complacency affects the overall company atmosphere, the negative experience they share with those driven with passion may get affected too.
They Hinder the Brand Performance
The actively disengaged employees are a direct threat to the brand performance of your organization. The hard work could go down the drain in no time, thanks to the disengaged workers of a company. Employee relationships, mismanagement and various other problems stemming from employee disengagement could cost you your brand. The employees you hire need to be the faces of the brand, not the threat to it. They need to market the company’s brand with their career growths.
The disengaged employees might not be showcasing a negative brand image to the world, but the mere mediocrity of the information shared by them to the rest of the world could be the hindrance in the growth of the company brand and image. This way, your company loses its edge over the competition which is essential to survive and thrive in the industry.
Disengaged employees are also on the verge of leaving their employers at any better opportunity in terms of monetary benefits. Hence, the company loses many chances to grow with its existing brands.
The Bottom Line Cost
The financial cost incurred by organizations in the U.S, by the disengaged employees, estimates to $450 to $550 billion (Gallup Poll). And this means that the cost of disengaged employees surpasses the cultural and brand impact, it affects the bottom line the most.
The disengaged employees are costing billions to their employers since they turn the potentially loyal and actively engaged employees into an asset for another organization. The negative impact makes many decide to shift to another workplace conducive to learning with a positive atmosphere. Also, the disengaged employees cost a company their customers and that happens to be one of the highest costs incurred by a company for employing disengaged employees and keeping them in.
How to Solve the Issue
Some of the surefire ways to solve the problem of disengaged employees, so to give the chance to your company to earn at its maximum capacity, are:
- Keep a close check on feedbacks. Ask for information about the company culture, performance, expectations, etc. and know when to pitch in to resolve the underlying problems.
- Use employee feedback to resolve issues. The top management needs to take into consideration the problems arising among the staff and device strategies to solve them.
- Draft an action plan. It is important to keep a positive approach and to strive to problem resolution with sound strategies and plans, as well as smart benefits.
- Reward honesty and ask for direct feedback on the actions taken by the management to solve the issues.
A positive action plan will conceive desired results if the employees are comfortable in sharing their reviews with the management and are willing to help build a better future for the company.